Yahoo Finance Is Balfour Beatty (BAFYY) a Great Value Stock Right Now?
Here at Zacks, we focus on our proven ranking system, which places an emphasis on earnings estimates and estimate revisions, to find winning stocks. But we also understand that investors develop their own strategies, so we are constantly looking at the latest trends in value, growth, and momentum to find strong companies for our readers.
Of these, perhaps no stock market trend is more popular than value investing, which is a strategy that has proven to be successful in all sorts of market environments. Value investors use tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.
On top of the Zacks Rank, investors can also look at our innovative Style Scores system to find stocks with specific traits. For example, value investors will want to focus on the "Value" category. Stocks with high Zacks Ranks and "A" grades for Value will be some of the highest-quality value stocks on the market today.
One company to watch right now is Balfour Beatty (BAFYY). BAFYY is currently sporting a Zacks Rank of #2 (Buy), as well as a Value grade of A. The stock has a Forward P/E ratio of 13.24. This compares to its industry's average Forward P/E of 13.43. Over the past 52 weeks, BAFYY's Forward P/E has been as high as 13.24 and as low as 10.31, with a median of 10.90.
We should also highlight that BAFYY has a P/B ratio of 1.36. Investors use the P/B ratio to look at a stock's market value versus its book value, which is defined as total assets minus total liabilities. This company's current P/B looks solid when compared to its industry's average P/B of 2.08. BAFYY's P/B has been as high as 1.36 and as low as 0.95, with a median of 1.13, over the past year.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Balfour Beatty is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, BAFYY feels like a great value stock at the moment.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Balfour Beatty PLC (BAFYY) : Free Stock Analysis Report
